IDEAS home Printed from https://ideas.repec.org/a/fip/fedfel/87555.html
   My bibliography  Save this article

Why Is Unemployment Currently So Low?

Author

Listed:
  • Marianna Kudlyak
  • Mitchell Ochse

Abstract

Unemployment is at a 50-year low. The low rate is not from an unusually high job-finding rate out of unemployment but, rather, an unusually low rate at which people enter unemployment. The low entry rate reflects a long-run downward trend likely due to population aging, better job matches, and other structural factors. These developments lowered the long-run unemployment rate trend. At the end of 2019, the unemployment rate was below the trend but no more so than in previous business cycle peaks, indicating that the labor market is no tighter.

Suggested Citation

  • Marianna Kudlyak & Mitchell Ochse, 2020. "Why Is Unemployment Currently So Low?," FRBSF Economic Letter, Federal Reserve Bank of San Francisco, vol. 2020(06), pages 1-05, March.
    • Handle: RePEc:fip:fedfel:87555
    as

    Download full text from publisher

    File URL: https://www.frbsf.org/economic-research/files/el2020-06.pdf
    File Function: Full text - article PDF
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedfel:87555. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Federal Reserve Bank of San Francisco Research Library (email available below). General contact details of provider: https://edirc.repec.org/data/frbsfus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.